Saturday, September 22, 2012

Country loses one third of budget due to bandhs

The country has lost equivalent
to around a quarter of the budget in a year — since last September to this
August — due to bandhs, despite the commitment by major political parties to
not support bandhs that have hit the economy hard for the last one decade.

The country has lost over Rs 120
billion — one third of the budget which stood at Rs 384.90 billion for the last
fiscal year — in the last one year with 80 days of bandhs, according to
Liveable Nepal.

The country has to bear a loss of
Rs 1.5 billion in a single day of bandh, according to data of the Federation of
Nepalese Chambers of Commerce and Industry.

Bandhs — the most binding
constraint to business growth — has hit the far western region hard as the
region witnessed the most number of bandhs, according to the data that revealed
that the region witnessed around 30 per cent of the total bandhs, followed by
the central region that saw 27 per cent and mid-western region that saw 17 per
cent of the total bandhs in the country. Similarly, the eastern and western
regions saw 14 per cent and 12 per cent of total bandhs, respectively.

Unlike a year ago, when the
country witnessed the most number of bandhs in Sankhuwasabha and Bhojpur —
eastern region, last year Kanchanpur and Kailali — mid-western and far-western
districts — witnessed the most number of bandhs, according to figures.

Like earlier years, political
issues have been the key reason behind most of the bandhs followed by protests
due to deaths and accidents. "Some 61 per cent of the bandhs was due to
political reasons," the data pointed out, adding that bandhs protesting
deaths and accidents accounted for 23 per cent, whereas bandhs due to other
reasons accounted for 16 per cent.

Until and unless there is
economic freedom to safety of life and property, proper and effective
implementation of the rule of law, and freedom to enterprise and participation
in a profession of one's own choice, a country cannot develop.

Political parties after much
pressure from the public had committed not to call bandhs but have repeatedly
broken their promise forcing people to close their businesses and having their
properties damaged.

Among the political parties,
Samyukta Loktantrik Paribes, Far Western Ekta Saamaj, and Tharuhatt Struggle
Committee are the top three political parties that have called for the highest
number of bandhs dearly hurting the economy.